Why KNOT Offshore Partners LP (KNOP) is Gaining This Week?

Ladies and gentlemen, buckle up! We're diving into the world of offshore partnerships, and today, KNOT Offshore Partners LP (KNOP) is the star of the show. This company is ON FIRE, and you need to know why!

First things first, let's talk about the numbers. KNOT Offshore Partners just reported its Q4 2024 financial results, and they are nothing short of spectacular. We're talking about total revenues of $91.3 million, operating income of $34.7 million, and net income of $23.3 million. That's a 19.7% sequential revenue growth, folks! This is a company that knows how to make money, and it's doing it in a big way.

But it's not just about the numbers. KNOT Offshore Partners has secured multiple new time charters and extensions, which means future revenue stability is a lock. We're talking about the Ingrid Knutsen with a 2-year charter with Eni, the Hilda Knutsen with a 1-year charter with an oil major, the Torill Knutsen with a 3-year charter with Eni, the Carmen Knutsen with a 1-year extension with Repsol, and the Brasil Knutsen with a new 2-year charter with Equinor starting Q3 2025. These charters have secured over 94% charter coverage for 2025 and 75% for 2026. That's visibility, folks! That's stability!



And let's not forget about the strategic acquisitions. The Live Knutsen acquisition and the sale of the Dan Sabia reflect tactical fleet optimization. This transaction potentially upgrades the fleet profile without significant capital outlay, aligning with the company's goal of maintaining a modern and efficient fleet. The average fleet age of 9.6 years positions KNOP with relatively modern assets in a segment where technical specifications and reliability are paramount.

But what about the market? Well, the shuttle tanker market is tightening, and KNOT Offshore Partners is right in the middle of it. Brazil, where 13 of KNOP's vessels operate, shows particularly strong fundamentals with Petrobras maintaining high production levels and multiple FPSO startups in pre-salt fields driving demand. This market tightening benefits established operators like KNOP who command ~15% of the global shuttle tanker market alongside sponsor Knutsen NYK.

And let's not forget about the customer relationships. KNOT Offshore Partners has strong commercial positioning and customer relationships with major players including Eni, Shell, Repsol, Petrorio and Equinor. Of particular note is Shell converting the Vigdis Knutsen to bareboat charter while extending duration to 2030, providing exceptional long-term revenue visibility.

So, what does all this mean for you? It means that KNOT Offshore Partners LP is a company that you need to own. It's a company that's making money, securing long-term contracts, optimizing its fleet, and strengthening customer relationships. It's a company that's positioned to benefit from a tightening shuttle tanker market, particularly in Brazil. It's a company that's on fire, and you need to get in on the action!



So, do this! Buy KNOT Offshore Partners LP (KNOP) now! Don't miss out on this opportunity to own a company that's making money, securing long-term contracts, optimizing its fleet, and strengthening customer relationships. This is a no-brainer, folks! This is a company that's on fire, and you need to get in on the action!